India cuts potash subsidy as prices decline

9:22 AM MDT | March 28, 2014 | Natasha Alperowicz

The Indian government on Thursday approved reducing the potash subsidy for the 2014/15 fiscal year, starting this April, by nearly 20%, to 9,400 Indian rupees/m.t. ($160), which will result in government savings of Rs9 billion. The cabinet has decided to reduce subsidy on potash because of the fall in international prices, which is unlikely to put additional burden on farmers. The subsidy on potash will come down from Rs18.83/kilogram to Rs15.50/kilogram, fertilizer secretary Shaktikanta Das tells reporters. Global potash prices fell by about $60–100/m.t....